The benchmark Sensex carried forward last session’s momentum as it edged closer to its all time high of 21,373.66 which it had touched on January 23. The index again rose by 67 points and ended the session at 21,276.86, just 97 below its record high.
The broader index Nifty also surged by 30.70 points to 6,328.65. Backed by the stock market’s performance, rupee rose to its highest level in over a month and closed 10 paise up at Rs 61.75 per dollar.
As per market experts, the rally was led by heavy buying from foreign institutional investors (FII) in beaten down shares. Also, experts added that FIIs also were seen taking strategic positions in the stock markets as only a month is now left in the general elections. Nifty breached the 6,300-mark and hit nearly six-week high on select buying.
Indian stocks largely shrugged off weak European opening as realty, capital goods and banking stocks helped the bluechip index close in the positive terrain after it witnessed intra-day volatility, said traders.
On the currency front, rupee surged to its highest level in over a month backed by sustained selling of dollar by exporters and banks. Rupee started the session lower at Rs 61.90 per dollar from previous close of `61.85 per dollar. As session progressed, rupee eased to a low of `61.92 per dollar. However, helped by positive cues, the rupee later rebounded to intra-day high of Rs 61.66 per dollar. In last two sessions, the domestic currency has surged by 29 paise.